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Decentralization of territorial policy in Italy - the coherence with the model of multi-level governance and the effects on responsibilities of public spending

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Author Info
Bagarani, Massimo
Bonetti, Antonio
Zampino, Simona ()
Abstract

The past twenty years have seen the communitarian system of multi level governance (MLG) being established as a model of territorial policies governance. In the MLG, several levels of jurisdiction participate to decision making and Regions assume a relevant role in managing policies of development. This article highlights how such a system, mostly led by Public Institutions, cuts transaction costs being based on principles aimed at increasing the number of decision makers, as well as at making all governing levels and the processes of institutional coordination more effective. The article investigates two issues: a) to what extent the reorganization of the Italian system is compatible with the main characteristics of Communitarian MLG system in the governance of territorial policies; b) to what extent the decentralization in programming policies of development has gone with a transfer of capital expenses from a central (Central Administration) to local (Regional and Local Bodies) jurisdictions. The hypotheses to be tested refer to the decentralization process so far recorded in Italy: the first hypothesis is that such a process would not be fully shareable, neither with regard to the characteristics of the Communitarian MLG model, nor to the general considerations deriving by the theory of fiscal federalism; secondly, the process wouldn’t seem suitably supported by a symmetrical transfer of the expenses from the Central Government’s jurisdiction to local bodies’.

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Paper provided by University of Molise, Dept. SEGeS in its series Economics & Statistics Discussion Papers with number esdp07038.

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Length: 23 pages
Date of creation: 19 Jul 2007
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Handle: RePEc:mol:ecsdps:esdp07038

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Related research
Keywords: Territorial policy Multi Level Governance institutional decentralization OLS panel fixed-effects models

Find related papers by JEL classification:
H7 - Public Economics - - State and Local Government; Intergovernmental Relations
R5 - Urban, Rural, and Regional Economics - - Regional Government Analysis
R58 - Urban, Rural, and Regional Economics - - Regional Government Analysis - - - Regional Development Policy

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